Tod 'S Is Affected By China'S Market And Hongkong Demonstrations

According to reports, Italy luxury group Tod's recently released its latest financial report, ending in the first 10 weeks of 2015 (January 1st -3 8), affected by the weak Chinese consumer market and the cold weather in North America, the group began its core profit decline of 18% in 2015, and the same store sales fell 10.6%, more than the overall decline of 7.1% in 2014.

However, the decrease was 3.6% according to the actual exchange rate.

Emilio Macellari, chief financial officer, said that the situation in China is still very serious and consumption has not yet resumed.

Hongkong's sales are still not affected by democratic protests.

In addition, the cold weather in the United States in one or two was also one of the reasons for the same store sales decline, but it was offset by the strength of the dollar.

Although the management has made an expensive pformation on the product supply and distribution network, profit fell last year in line with market expectations, but its annual dividend was reduced from 2.7 euros per share to 2 euros, with dividend cuts exceeding market expectations.

As of Thursday, before the announcement of the earnings report, Tod's

Closing rose 0.4% to 97.35 euros.

Its stock has been on the rebound since its initial sales figures in late January, and its stock has risen more than 35% so far in 2015.

Emilio Macellari, chief financial officer, said that they delayed delivery due to pport problems at the end of February, but improved when the best sellers arrived at stores.

"That's why we think the missing part will be restored, if not at the end of the first quarter, definitely in the second quarter of this year."

He also believes that the same store sales will regain a positive upward trend near the end of the year, and expect that although

The impact will cut by half the growth, but Tod's's profits will be up to 5.5% expected by the market.

According to previous reports,

Total sales in 2014 amounted to 966 million euros, down 0.2% from the same period last year.

In the fourth quarter, sales increased by 225 million euros, up 4.5% from the same period last year, while the annual profit of EBITDA (tax profit and depreciation before amortization) of Tod's 2014 was 193 million 500 thousand euros (about 205 million US dollars), lower than the 1.937 euros expected by the market and net profit of 97 million 100 thousand euro.

Sales in the Greater China region were 226 million euros, down 4.4% from the same period last year. This is the only area in which negative growth has been achieved in the fourth quarter, due to the weakness of the Chinese market and the adverse effects of Hongkong demonstrations.

The fastest growing brand in the group is Roger Vivier, whose sales amounted to 127 million euros in 2014, up 12.4% over the same period last year.

Tod's currently has 232 Direct stores and 93 franchise stores.

In 2015, Tod 's will open 25 new stores, and the new stores in China will be "slightly more".